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Among the current issues in U.S.-Egyptian relations are the shared concerns over the terrorist attacks against Egyptian police, religious, government, and tourist facilities, and what those attacks maysignal for Egypt’s domestic stability. The two nations may disagree over Egypt’s interpretation of applying human rights practices to Islamic terrorists. The two countries disagree over the speed and depth, but not the need for some of Egypt’s economic reforms. Egypt and the United States agree on the importance of the Egyptian-Israeli peace treaty, the need to continue current Arab-Israel peace talks, and the need for regional stability. The two nations agree on Egypt’s determination to introduce democratic reforms to Egypt.

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The conference agreement on the spending budget reconciliation bill (S. 1932) includes a scaled-back version of welfare reauthorization legislation. The agreement would extend the basic Temporary Assistance for Needy Families (TANF) block grant at current funding levels through FY2010; increase the share of TANF families required to participate in work activities; increase child care funding from current levels by $200 million per year ($1 billion over five years, FY2006-FY2010); provide federal cost-sharing for child support passed through to TANF and former TANF families; provide up to $100 million per year in demonstration grants for the promotion of “healthy marriages”; and establish $50 million per year for “responsible fatherhood” initiatives.